Brussels, 24/09/2009 (Agence Europe) - On Wednesday 23 September, Coreper had a first exchange of views on preparation of the EU-Russia summit on 18 November in Stockholm (EUROPE 9982). This was done on the basis of a note from the Swedish Presidency, which, according to our sources, has made a quite worrying observation of the state of relations with Moscow and the prospects for developing them. Described as a “strategic partner” by the EU27, Russia has in effect recently taken measures that complicate conclusion of a new partnership agreement and the implementation of the four “common areas”: suspension of the process for joining the WTO on an individual basis, introduction of protectionist measures, withdrawing signature for signing the Energy Charter (ECT) etc. All these problems will be raised at the summit with President Dmitri Medvedev but the Swedish Presidency also recognises that it does not have any “magic formula” on resolving them. Towards the middle of October, the Presidency will present two new more detailed notes: one on the preparation of the summit, the other on outstanding issues with Russia.
Trade/WTO. What worries the Europeans the most is the increasingly protectionist attitude of Moscow (export and import duties) and its decision to suspend individual talks on joining the WTO (the objective is now to have joint access with Belarus and Kazakhstan in the form of a customs union). This latter decision has a direct impact on negotiations with the EU for a new partnership agreement because it should also include a free-trade zone with EU and Russia but only if Moscow has joined the WTO beforehand. The EU still believes that Russia could already be a member of the WTO when the new agreement is concluded, possibly in 2010 but this timetable is almost definitely going to be revised. In its work notes presented to Coreper, the Swedish Presidency asserts that the current economic crisis is actually accentuating the trend towards isolationism in Russia because some quarters in Moscow see the crisis as proof that integration into international markets and economic structures is not necessarily a good thing. At the summit, the EU will therefore ask Mr Medvedev to clarify his intentions regarding the WTO and put a stop to the protectionist measures mainly hitting Europe (its main trading partner) and improve the investment climate.
Energy. The Swedish Presidency says that the EU should propose to Moscow that it put energy relations onto a new footing of trust and predictability. Russia, which recently withdrew its signature from the Energy Charter Treaty (ECT), wanted to renegotiate a new multilateral framework for the energy sector and conclude an international treaty on energy transit. The EU is prepared to discuss the Russian proposals but only within the framework of ECT revision, which Russia does not at all want. The Presidency admits that at this moment in time, it does not know how this problem can be resolved. Whatever transpires, the Swedish Presidency stresses that the EU must remain firm on the principles of the ECT and continue to demand that these principles are retained in the future new EU-Russia partnership agreement.
Rule of law. The Swedish Presidency considers that the EU should welcome the recent declarations made by President Medvedev on the necessity of guaranteeing respect for human rights and the rule of law, and remind him that words must be followed by action. (H.B./transl.rh)